Business Models: A Strategic Management Approach by Allan Afuah represents a new kind of book. Business models are about making money and most firms are in business to make money (a profit). It is therefore no surprise that the phrase "business model" is increasingly finding its way into CEO speech after speech and in business school functional areas from accounting to finance to marketing to strategy. Because strategic management is inherently integrative in nature and increasingly more focused on firm performance, strategy textbooks have come closest to addressing the subject of business models, but only implicitly and partially so.

Business Models: A Strategic Management Approach draws on the latest research in strategic management to explicitly and fully explore business models. It draws on the latest research on to explore which activities a firm performs, how it performs them, and when it performs them to make a profit. It offers an integrated framework for understanding the relationship between the set of activities that a firm chooses to perform, its revenue model, its cost structure, its resources and capabilities, the competitive forces in the firm's industry, and its ability to sustain a competitive advantage even in the face of change. It provides the link between resources, product-market positions and profits¿how resources and product-market positions are translated into profits. (Existing strategy texts demonstrate correlation between resources or product-market positions and profits, not their translation into profits). Additionally, it explores the relationship between business models and corporate social responsibility as well as the international component to business models. It offers a definition of business models that is deeply rooted in the resource-based and product-market theories of strategy.

Features

Business Models: A Strategic Management Approach reflects the most up to date research of any strategy text on the market, including: the differences between business models and revenue models, the resource-based theory of strategy, the product-market theory of strategy, dynamic capabilities, connected activities, disruptive technologies, the role of corporate social responsibility in the formulation and execution of business models (one of the first explorations of this topic!), translation of resources and capabilities into profits, the link between activities and profits, the S3PE framework, and balanced scorecard and economic value added as measures of business model performance.

The text features a detailed step-by-step framework for analyzing the sources of a business model's profitability or competitive advantage that rests on the latest research in both the resource-based and product-market position theories of strategy.

The cases in Business Models: A Strategic Management Approach were written to illustrate the concepts, theories, or analytical tools in each chapter. Many include start-ups, well-established incumbents, so-called bricks-and-mortar, and even new economy cases. A detailed example of how to analyze a business models case is also provided to aid in student comprehension, and performance.

1. Introduction and Overview 2. Customer Value and Relative Positioning 3. Pricing to Optimize Revenues 4. Sources of Revenues and Market Targets 5. Connected Activities for a Profitable Business Model 6. Resources and Capabilities: The Roots of Business Models 7. Executing a Business Model 8. Innovation, Sustainability, and Change 9. Analyzing the Cost of a Business Model 10. Analyzing the Sources of Profitability and Competitive Advantage in a Business Model 11. Financing and Valuing a Business Model 12. Business Model Planning Process 13. Corporate Social Responsibility and Governance

Business Models: A Strategic Management Approach by Allan Afuah represents a new kind of book. Business models are about making money and most firms are in business to make money (a profit). It is therefore no surprise that the phrase "business model" is increasingly finding its way into CEO speech after speech and in business school functional areas from accounting to finance to marketing to strategy. Because strategic management is inherently integrative in nature and increasingly more focused on firm performance, strategy textbooks have come closest to addressing the subject of business models, but only implicitly and partially so.

Business Models: A Strategic Management Approach draws on the latest research in strategic management to explicitly and fully explore business models. It draws on the latest research on to explore which activities a firm performs, how it performs them, and when it performs them to make a profit. It offers an integrated framework for understanding the relationship between the set of activities that a firm chooses to perform, its revenue model, its cost structure, its resources and capabilities, the competitive forces in the firm's industry, and its ability to sustain a competitive advantage even in the face of change. It provides the link between resources, product-market positions and profits¿how resources and product-market positions are translated into profits. (Existing strategy texts demonstrate correlation between resources or product-market positions and profits, not their translation into profits). Additionally, it explores the relationship between business models and corporate social responsibility as well as the international component to business models. It offers a definition of business models that is deeply rooted in the resource-based and product-market theories of strategy.

Features

Business Models: A Strategic Management Approach reflects the most up to date research of any strategy text on the market, including: the differences between business models and revenue models, the resource-based theory of strategy, the product-market theory of strategy, dynamic capabilities, connected activities, disruptive technologies, the role of corporate social responsibility in the formulation and execution of business models (one of the first explorations of this topic!), translation of resources and capabilities into profits, the link between activities and profits, the S3PE framework, and balanced scorecard and economic value added as measures of business model performance.

The text features a detailed step-by-step framework for analyzing the sources of a business model's profitability or competitive advantage that rests on the latest research in both the resource-based and product-market position theories of strategy.

The cases in Business Models: A Strategic Management Approach were written to illustrate the concepts, theories, or analytical tools in each chapter. Many include start-ups, well-established incumbents, so-called bricks-and-mortar, and even new economy cases. A detailed example of how to analyze a business models case is also provided to aid in student comprehension, and performance.

1. Introduction and Overview 2. Customer Value and Relative Positioning 3. Pricing to Optimize Revenues 4. Sources of Revenues and Market Targets 5. Connected Activities for a Profitable Business Model 6. Resources and Capabilities: The Roots of Business Models 7. Executing a Business Model 8. Innovation, Sustainability, and Change 9. Analyzing the Cost of a Business Model 10. Analyzing the Sources of Profitability and Competitive Advantage in a Business Model 11. Financing and Valuing a Business Model 12. Business Model Planning Process 13. Corporate Social Responsibility and Governance